Yes, because I believe in at least trying to be accurate whenaking arguments/statements.

Bitcoiners, and especially NOSTR is full of philosophical nonsense that sounds great but isn't historically accurate, factual nor logical.

There are tons of issues with the fed, global fiat systems and government in general. We don't need hyperbole, nonsense, and falsehoods to persuade people.

People somehow fail to grasp however how things actually work. For instance for almost 2 years theoney supply has been shrinking. Yet if you talk toany bitcoiners they say and think that the fed and government is printing nonstop to cover their debt.

That isn't true, currently savings are being used to fuel the debt and spending, NOT monetary expansion.

That's an aside to this, but I think you get my point.

Reply to this note

Please Login to reply.

Discussion

I see, so you want better precision in our language. I think maybe we are just speaking a different language, but the goal is still something I should consider. Federal deficit expansion has a met inflationary effect long term, because it pumps dollars into the system and those dollars have to come from somewhere, and they're basically being issued as federal debt, which is bought up by global investors or the Fed. When the investors don't feel it's attractive enough for the Fed's liking, the Fed will print and the money supply will increase. Until then it's a localized expansion of available dollars (an increase in supply, an inflation-like event) in the U.S., especially close to government contracts and whatnot, at the expense of dollars elsewhere. Not actually inflation of the money supply, but it tends toward more future expansion of the money supply, because the government is not incentivized to own up to its mistakes. So what we're saying on a long enough time scale is true. If we say that the Fed specifically is printing right now, well yeah that's false (aside from a little bit a few days ago there)

Not better precision, rather not untrue bullshit that 'feels.good'.

Yes, in some ways it can be inflationary to move from saved dollars to spend. In other ways however, it means less money is available to lend, buy products, buildings, inventory...

It's just different consumers and projects.

The current system skews natural forces heavily.

In the overall economy, I don't know that evidence suggests the direct transfer from savings of dollars to government causes direct inflation short term. Foreign investors that have dollars can certainly bid up real estate, stocks, Bitcoin, and many other direct assets. However they do not typically buy a bunch of retail food or clothes or whatever.

Long term you are absolutely right that the fed is merely bidding time until they start again to come to the rescue as savings dry up and leverage increases. Currently, the only reason the are able to shrink or maintain is due to the absolutely insane covid and 2021 cash inflows.

I believe we are on the same page overall cheers.

Yeah, I don't think we can really call fiscal expansion inflation at all if we are defining inflation as an expansion of the money supply, unless we call the debt instruments it uses money itself. Although, that debt could be thought of as a form of credit, so it could be considered (I think) an expansion of credit which drives production toward what the receiver of these funds (government) wants, pretty much immediately, and if this represents poor allocation of resources, it makes everyone worse off even though it was not technically monetary inflation. Keynesians like to pretend that the government either always or usually knows better than individuals, and their prescriptions, which bolster the current monetary order's perceived legitimacy and beneficence, rely entirely on that flimsy snuck premise. Add to this that there is precious little effective feedback to the government regarding its expenses and how to allocate them, and you can almost guarantee that every government program is a misuse of funds vs what the private market would do, and thus lowers living standards and dollar purchasing power by that opportunity cost. That does not mean that every single thing government officials or politicians do will be that bad of a misuse, Thomas Massie exists. But he is not the norm.

I have much more to learn as regards money, but yeah you and I are pretty much on the same page on this matter. Cheers!

I might be wrong on a lot of this. I'm still kind of a noob on monetary theory.